Interaction Between Quality Investment and Private Label Encroachment in Different Sales Modes
As an online resource allocation medium,platforms are changing market consumption patterns and industrial structure.Based on sales contracts,the interaction between quality investment and private label encroachment is studied.Considering consumers'strategic preference,eight decision models are established in different cases.Furthermore,the strategy of quality investment,sales mode selection,and channel configuration are discussed through numerical analysis.The results show that the supplier and platform have different preferences for sales mode.However,through exogenous parameter change,supply chain Pareto can be partially realized.The supplier can always benefit from his/her quality investment,but the private label encroachment of the platform would raise the threshold of quality investment.Counterintuitively,the platform is not inclined to introduce its own brand when the consumer acceptance is high,and the platform would choose the mixed operation strategy only when the acceptance is low.Therefore,it can alleviate competition,promote consumption and be more beneficial to operation for implementing differentiated product strategy in supply chain.